The City of Milwaukee has decided to appeal a Milwaukee County circuit judge's decision that the city's taxicab regulations violate the state's constitution.

The appeal will be heard by the Wisconsin Court of Appeals.

Circuit Judge Jane Carroll ruled April 16 that the city's taxicab ordinance, which set a cap on taxicab permits in the city, violated the state's constitution.

Lawyers for cabbies sought an injunction, which was granted, but Carroll stayed her decision, including her order to lift the cap, in anticipation of an appeal.

Anthony Sanders, an attorney for the Institute for Justice, which is representing the drivers, said Carroll had ruled that city officials can't use "government power just to enrich favored business interests.

"It is no surprise that these same officials do not agree with her," Sanders said. "We look forward to prevailing again on appeal, and securing a victory that protects the economic liberty of would-be entrepreneurs all across Wisconsin."

Under the ordinance, the only way to get a taxi permit is to purchase one from an existing permit holder. There are 321 permits now, fewer than the number of permits in 1991, when the ordinance was first enacted.

Documents filed in the case indicate there is one taxi for every 1,850 residents in Milwaukee.

The Common Council has created a study committee to investigate and report on the regulating and licensing of taxicab operators, vehicles and service in the city. The new committee is expected to submit a report in November.

At the same time, Ald. Michael Murphy has proposed legislation that would remove the cap on permits.